Thursday, 3 August 2017

Glentham Capital raises £250k - at last.

Nicola Horlick's Glentham Fund comes good on promise of £250k investment.


We have written about the Glentham Fund many times on here. Most recently about a promise from Horlick to come good on her promise of a £250k investment. Well now it seems the money is on - or in July, the company issued shares to that value. This appears to be a deal struck with two new SHs, to whom Horlick sold the newly issued shares after buying them of the company at a value of £12 each. What she sold them on for is unknown. With the shares currently issued, the £12 value makes the company nominally worth just over £2.9m. The Seedrs pre money valuation was £1.8m in 2014. 

We doubt the new shareholders paid £12 though. 

Now Seedrs investors just need to see her do something with it.

3 comments:

  1. Seems an odd way to do it, unless they are non-UK tax payers. By buying the shares off NH they would not be a new issue of shares, so not qualifying for EIS tax relief (which I think they will need to be using for loss relief, etc).

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  2. Having had a look at the filings the transfers to the two shareholders was some time before the £250k investment.

    98,413 shares were transferred on 31 July 2016 to Christopher Gayford (Nicola Horlick's brother) and Nathan Engelbrecht (who is a director of a number of Nicola Horlick linked companies at Bruton Place).

    At the notional £12/share value these were worth £1.18m and at the time this put Nicola Horlick's shareholding down from 84% to 26%. The 20,833/ £250k of shares was issued on 27 April 2017 but only reported on 21 July 2017. This puts Nicola Horlick at 34% ownership. As the prev. poster correctly states, these transferred shares will not qualify for EIS relief as they are not a new issue, they are existing shares.

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  3. A few thoughts -

    maybe the 98,413 shares were sold to source the £250,000 needed to make the new investment?

    if the Seedrs issues valued the shares at £12 each, then does subsequently selling them to these two individuals for less than that create a capital loss that can be utilised elsewhere? Or if they are nominees for a charity, the gifting of the shares at £12 each (justified by the Seedrs issue price) creates a gift aid tax rebate?

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